THE WHAT? TerraCycle has settled a lawsuit bought by the Last Beach Cleanup alleging that the label recyclability claims made by the waste management firm and several major brand owners were ‘deceptive to a reasonable consumer’, according to a report published by Resource Recycling.

THE DETAILS Terracycle and the brands it worked with, which include L’Oréal USA, Clorox, Procter & Gamble and Tom’s of Maine, stood accused of labeling products as recyclable without indicating that the options available may be limited, and recycling programs suspended when budgets were exceeded.

THE WHY? Under the terms of the settlement, TerraCycle has agreed to adjust claims made on product labels to communicate the limited availability of recycling programs. Tom Szaky, TerraCycle CEO, told Resource recycling, “Frankly, I think it’s a fine change, it’s good, extra clarity. We’re happy to ask the few programs where that applies to have it implemented.”